SSEF1 Explain why limited productive resources and unlimited wants result in scarcity, opportunity costs, and tradeoffs for individuals, businesses, and governments.
a. Define scarcity as a basic condition that exists when unlimited wants exceed limited productive resources.
b. Define and give examples of productive resources (i.e. factors of production): natural resources (i.e. land), human resources (i.e. labor and human capital), physical capital and entrepreneurship.
c. Explain the motivations that influence entrepreneurs to take risks (e.g., profit, job creation, innovation, and improving society).
d. Define opportunity cost as the next best alternative given up when individuals, businesses, and governments confront scarcity by making choices.
SSEF1 Explain why limited productive resources and unlimited wants result in scarcity, opportunity costs, and tradeoffs for individuals, businesses, and governments.
a. Define scarcity as a basic condition that exists when unlimited wants exceed limited productive resources.
b. Define and give examples of productive resources (i.e. factors of production): natural resources (i.e. land), human resources (i.e. labor and human capital), physical capital and entrepreneurship.
c. Explain the motivations that influence entrepreneurs to take risks (e.g., profit, job creation, innovation, and improving society).
d. Define opportunity cost as the next best alternative given up when individuals, businesses, and governments confront scarcity by making choices.
Links Used In Class:
Scarcity
Four Factors of Production
Opportunity Costs